SUPERVISORY DIRECTORS ARE A TYPE OF BAYWATCHERS
When you dress a lizard in a suit you will have trouble with his tail!
A seminar on Financial Institutions and their Supervisor was held in Aruba on Wednesday April 20, 2016. The seminar was organized by the Aruba Bankers’ Association & Insurance Association of Aruba. I was one of the keynote speakers and delivered my presentation in the English language (click here for the presentation).
I have addressed several issues. Here follow a few quotes:
What makes financial institutions like banks and insurance companies special is that the scope of duties of managing and supervisory directors …
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CREDIT INSTITUTIONS IN THE BES ISLANDS
Strictly regulated
With effect from 1 July 2012, the Financial Markets (BES Islands) Act [Wet financiële markten BES; “Wfm BES”] came into force, with the associated subordinate regulations. The Wfm BES applies to financial institutions in the BES islands (Bonaire, St. Eustatius and Saba). There are several categories of financial institutions, including credit institutions (banks).
A “credit institution” (kredietinstelling) is a party engaged in the business of obtaining callable funds (opvorderbare gelden) from outside a restricted circle (besloten kring) and from parties other than professional market parties (professionele marktpartijen) and of the extension of loans (kredietuitzettingen) at such party’s (own) …
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REGULATORY LEGISLATION IN CURACAO
General requirements on the business operation
Regulatory legislation in Curacao does not distinguish between different kinds of products, such as for instance hedge funds, but is of a more general nature. The regulatory legislation of Curacao applicable to financial institutions is divided into four categories being: credit institutions, institutional investors, investment institutions & administrators and trust service providers.
The authority entrusted with the supervision on the financial institutions mentioned above is the Central Bank of Curacao and Sint Maarten.
The regulatory legislation does provide for general requirements on the business operation of the financial institutes involved. The National Ordinance on …
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BES LAW DEVELOPMENTS
Bonaire, St. Eustatius and Saba (BES)
Within a couple of years, the BES Islands, as public entities, will be part of the country of the Netherlands in the framework of the political restructuring in the Kingdom of the Netherlands. The US dollar will be introduced as the new currency in the BES Islands. Curacao and St. Maarten will each become a country within the Kingdom of the Netherlands and have their own legislation and regulations.
The starting point of the political restructuring is that Dutch legislation will be introduced only gradually into the BES Islands. It has been established that …
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DUTCH GOVERNMENT INJECTS $13 BILLION IN ING GROUP
Restoring confidence is key
Recently, the Dutch government acquired all shares in the capital of the Dutch subsidiary of Fortis, i.e. Fortis Bank Nederland, including ABN AMRO Bank.
Furthermore, the Dutch government has set aside $27.5 billion of capital to protect the financial institutions of the Netherlands. Although there are many banks that have enough capital to get them through this period of market turmoil (a ‘credit tsunami’, according to Alan Greenspan), many of these financial institutions are not in a position to lend money at the levels that are necessary to support the Netherlands …
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